MAC3702 - Application Of Financial Management Techniques Assignment 2 Semester 2 Latest 2022. SUBJECT: Evaluation of Thoriso Minerals
As per your request, I have analysed the financial and non – financial
information of Thoriso Minerals and the findings have been detailed below.
(a) Risk asses...
As per your request, I have analysed the financial and non – financial
information of Thoriso Minerals and the findings have been detailed below.
(a) Risk assessment of Thoriso Minerals (South Africa)
Business Risk Potential impact of the business risk
involved
Increasing labour cost and This can cause disruptions in operations,
unrest destruction of property and increased
operational costs as the labour component
increases due to pressure from labour
unions. The employees may also not be
satisfied with their wages and other
employment benefits accruing to them and
may resort to labour action, leading to
disruption in business activities which has a
direct impact on production and the entity’s
profits.
, SUBJECT: Evaluation of Thoriso Minerals
As per your request, I have analysed the financial and non – financial
information of Thoriso Minerals and the findings have been detailed below.
(b) Risk assessment of Thoriso Minerals (South Africa)
Business Risk Potential impact of the business risk
involved
Increasing labour cost and This can cause disruptions in operations,
unrest destruction of property and increased
operational costs as the labour component
increases due to pressure from labour
unions. The employees may also not be
satisfied with their wages and other
employment benefits accruing to them and
may resort to labour action, leading to
disruption in business activities which has a
direct impact on production and the entity’s
profits.
Depressed South African This could impact on the operational
economy capability of the entity as some resources
might not be immediately available whilst
some key materials can be very expensive.
Unpredictable PGM prices This can affect the profitability hence the
viability of mining activities and the worse -
case scenario can even result in losses.
Unclear government policy Lack of clarity on indigenisation laws can
and legislation in Zimbabwe heavily impact on profitability from the
considering significant Zimbabwe business and also there is a
change in leadership negative effect on property rights. If the
company does not comply with legislation,
they might face penalties and that will
increase their expenses.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through EFT, credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying this summary from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller DoctorReinhad. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy this summary for R54,43. You're not tied to anything after your purchase.
